Zodiac accepted on Wednesday a 15 percent cut in an offer from Safran to create the world's third-largest aerospace supplier, after a string of profit warnings from the aircraft seat maker.
However, TCI also said changes in the terms of the renewed offer were a "victory" for TCI and other Safran investors, including improvements in corporate governance.
"We got most of what we asked for," TCI partner Jonathan Amouyal told Reuters on Thursday.
"The price is still too rich and so we will vote against this transaction when we are being asked to vote."
TCI recommends that Safran's management team gets paid part of its bonus only once it delivers targeted cost savings at Zodiac, Amouyal added.
Reporting by Maiya Keidan; writing by Carolyn Cohn; editing by Simon Jessop